The Analysis of Freemium Model: Application of Flow Theory and Theory of Planed Behavior
Date Issued
2016
Date
2016
Author(s)
Wang, Kuei-Yuan
Abstract
Since the recent development of e-commerce, the freemium model currently has become a popular and important business model in the market of software and application. However, in the freemium model, the customers who can accept the feature of free versions are likely to continue using free versions without purchasing premium versions. Therefore, this study aims to discover what kind of process will lead to the occurrence of purchasing intention after the customer using free versions. The process from using free versions to purchasing intention has a gap in the past researches. Therefore, this study applies the Theory of Planed Behavior to explore the behavior of free versions and use flow experience and anticipated emotions to analyze the process. Meanwhile, this study also exploits it to study the factors of positive WOM, free and premium past behavior’s influences. Total 288 of valid sample were collected from Web questionnaire, and the data was analyzed by SmartPLS. The results of analysis indicate that combined TAM and TPB is an effective model to understand the usage behavior of free version. In the process from using free version to purchasing intention, the usage behavior of free version has no significant influences on anticipated emotions of premium, while negative anticipated emotion of premium is positively associated with purchasing intention. On the other hand, the usage behavior of free version is positively associated with flow experience of free version, but flow experience of free version has no significant influences on purchasing intention. Moreover, flow experience of free version and purchasing intention are positively associated with positive WOM. Last, the past behavior should discuss with free and premium in the research of freemium respectively.
Subjects
Freemium
TAM
TPB
MGB
Flow
Positive WOM
Type
thesis
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